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Gov. Paterson threatens to nix Seneca Indians casino deal - New York Daily News

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Thursday, October 7th 2010, 4:00 AM

Gov. Paterson is threatening to spike the deal that allows the Seneca Indians to operate three casinos - because the tribe is withholding payments to the state.

In a letter to Seneca President Barry Snyder, Paterson's top lawyer, Peter Kiernan, said the Senecas owe $105.5 million from 2009 and $109 million for 2010.

The letter requests a meeting within 14 days to negotiate a solution.

"Otherwise," the letter said, "... the state will commence arbitration and seek a finding of material breach."

Snyder countered by claiming the state violated the 2002 gambling agreement for the past two years by allowing a video game called "Moxie Mania" at upstate New York bars - and introducing slot machines at race tracks.

"The Seneca Nation advised the governor's office that the operation of certain gaming devices within western New York violated the nation's right of exclusivity under the compact and thus jeopardized the state's ability to receive the very substantial 'state contribution' payments," the nation said.

Snyder also accused the state of overcharging the tribe for state police services.



Source: http://news.google.com/news/url?sa=t&fd=R&usg=AFQjCNEgIZSnb6EOsoXJ5SRevMQ_nT4Igw&url=http://www.nydailynews.com/ny_local/2010/10/07/2010-10-07_paterson_threatens_to_nix_seneca_casino_deal.html

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